SpiceJet Signs MoU with Avenue Capital for Sale and Lease-Back of 50 Aircraft

Private airline SpiceJet has signed a memorandum of understanding (MoU) with New York-based Avenue Capital Group for a strategic alliance in respect of the financing, acquisition and sale and lease-back of 50 new planes to be ordered by the airline. The MoU sets out the next steps and conditions upon which Avenue will assist with placing of SpiceJet's new aircraft portfolio, including sale and lease-back of and also the assumption of ownership of potentially up to 50 of these aircraft. "We are delighted to enter into this strategic alliance with Avenue Capital Group and we look forward to closely working with them. This alliance will ensure a seamless induction of the planes in our fleet and help us plan better for the long term," said Ajay Singh, Chairman and Managing Director of SpiceJet.

SpiceJet operates a fleet of Boeing 737s, Bombardier Q-400s and freighters. It is the country's largest regional player operating 63 daily flights under UDAN or the regional connectivity scheme.